Table VI.

Definition of variables and measurement

VariablesMeasurement
Project achievement 
Technical performanceImprovement of technology development ability in related fields
Product innovation: Average of contribution on quality improvement, product high value-added, product troubleshooting
Production innovation: Average of contribution on increasing productivity, contributing to production, problem solving at workplace
Economic performanceIncrease in sales and exports: average of contribution of sales increase and export increase
New technology revenue contribution: the percentage of developed technology contributed to sales of the product
R&D capabilityNumber of registered R&D institutes
The ratio of R&D staff to the total number of employees in 2004∼2012
The characteristics of the technology development program 
Technical characteristicsTechnology changes fast
Technical difficulty is high
Very high potential in commercialization
Strong competition for technological development in the domestic market
Worldwide strong competition for technological development
Difficult to introduce overseas technology
Large technology gap with developed countries
Market characteristics 
 ComplexityDiversity of consumers’ demand
Diversity of competing products
Complexity of production technology
Variety of distribution and sales channels
Complexity of government policies and related laws
 DynamicsFrequency of new product development by competitors
Introduction of new technologies by competitors
Changes in material/technology related to products
Changes in product use and demand patterns
The speed of when products become obsolete
 CompetitivenessIncrease of domestic and overseas competitors
Price competition among competitors
Increasing production costs and falling profitability
Lack of experts
Slow in market growth and demand declines
Types of collaborative researchDummy variable indicating joint research
Dummy variable indicating large companies participate in joint research
Control variables 
Firm’s ageYears since establishment
SizeAverage number of employees from 2004 to 2012

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